Veep (8/11):
Sitrick is known to push back hard for its clients. While I'm sure Hurd's options are limited because of his settlement with the supposed victim, I wouldn't be surprised if he gets a measure of revenge against the board that many think acted hastily.
Joe Honick, GMA International Ltd (8/11):
Among the things you can bet on is any case handled by the very canny Allred will not stay out of the headlines for long. The simple statement issued by Ms Fisher is but an intelligent and careful approach. What, for example, was the need for her and Hurd to "settle" anything if there was nothing going on? It is also hard to believe that a smart PR outfit could possible believe the company would be hit devastatingly by a relatively minor accounting slipup or a very hazy reference to some vague "relationship" that supposedly was not much to worry about. Allred only gets involved in the tough stuff.
Ron Levy (8/11):
Sitrick will earn Hurd's fee and trust if the firm does little more than stay quiet unless there's something to announce, give Hurd peace of mind from knowing Sitrick will speak skilfuly for him if needed, and allows is to sink into the public's mind--partly from the $8.7 billion stock price decline Monday followed by more decline yesterday--that the board's decision was stupidity.
Joe Honick, GMA International Ltd (8/11):
Ron, you give strange credit to "the public mind" about such things. Itis probably a good time to consider getting some of that profitable company's stock. The 'public mind' is fickle and only looks for the best deal available.
Ron Levy (8/11):
Joe, HP stockholders were GETTING the best deal available--a stock price that more than doubled in five years--but then the board fired the president under whom sales and earnings had shot up, the stock price doubled, and the company surpassed IBM! Judge for yourself which is a more important measure of excellence for a company and a president--(1) sales, earnings and stock price, or (2) with whom MAYBE he hoped to have a relationship. I've suggested in a reply to Seitel's column that if HP's president had dinner with a blonde consultant without also having an assistant of his present, then instead of his being fired, perhaps he should be made to wear a dunce cap for a week and to write 1,000 times: "I am a schmuck!"
Wes Pedersen (8/11):
APCO bombed. I hate to say it because of my great admiration for its founder, Marjery Kraus. But by prolonging the agony, HP begged for a lawsuit. It diddled and fiddled and guarateed a wave of suspicion in the process and the media scented blood. Allred is close to a sure bet to milk HP and win a bundle for Hurd.
Ron Levy (8/12):
Wes Pedersen may be the brightest guy writing on this board (except on this story) but APCO certainly did not bomb. On the contrary, it showed what a superb crisis PR firm it is, one of the greatest ever, by giving an expert and prompt answer--based on two things we don't know--although it would have been safer for APCO to side with the highly successful company president instead of telling the board the reality.
One thing we don't know is what question the board asked. If it was like "what's the worst that can happen," then APCO protected the board and the company by telling it like it is.
APCO could have equivocated--"but of course this" and "but of course that"--yet in return for the board's trust and money (and wisdom in not going to some obscure PR firm recommended by a law firm hoping for reciprocation, and this kind of recommending happens a lot in Washington) APCO gave a clear and frank answer.
Common sense tells us and should have told the board that when you call in a fire prevention consultant, or an in-plant feeding consultant, or a PR firm, or a top accouneting firm, those called in will warn about danger. Perhaps nearly ALL cosultants look right away and warn about dangers. It's like a doctor warning of possible danger from heart trouble if we don't lose weight.
Warning of danger isn't overly alarmist, but it's ridiculous to go out and look for a heart transplant or a different president instead of coping with less panic. The board was wise to call in APCO instead of a lesser firm that might--instead of answering frankly--have asked budget for an attitude survey. But the board was far from wise in deciding, after getting an expert opinion, what to do about it. Sometimes blondes have more fun by accusing and threatening suit instead of developing more skills to produce more income. Notice how the blonde in this case shifted from one career to another and then to still others. The proper response when this hapens is not to fire a successful president but to recognize how sometimes blondes have more fun. |